The Bellagio Casino Resort (BCR) is one of the 23 properties of MGM MIRAGE and widely recognized as one of the premier casino resorts in the world. Beside entertainments options like an expansive pool and a world-class spa there is a large casino area which contains 2,409 coin-operated gaming devices and 143 game tables. Just as in most companies in this industry the casino area is leaded as a separated profit centre (Merchant, Van der Stede, 2007, P.153-155) In this case we’ll discuss the control systems used in the BCR.

1. Prepare a list of all controls applied to the table games in the Bellagio case. Categorize the controls by type (as result, action or personnel/cultural respectively).

|Type of Control |Application | |Result Control |Low Base Salary for Bellagio dealers. Tips are used as a compensation system. The better the dealer works the more tips he get. | | |An bonus holiday for perfect attendance | | |The BSC management could earn bonuses based on the result of the casino area and a set of individual performance objectives. | | |There are three indicators which the BSC uses to measure the results of the casino: 1. the drop (the total amount of cash customers| | |are willing to bet against BSC) 2. the win (gross profit number) 3. the hold ((percentage) primary measure of casino profitability)| | | | | |Employees can be chosen as employee of the month or year when they perform well. (without Financial compensation) | | | | |Action Control |Floor supervisors control three to six blackjack tables | | |Camera supervision and observation in the casino area (with about 2000 camera's) | | |standard procedures (For example when dealers receiving tips or for transferring money from and to blackjack tables, for dealers | | |when coins are paid at the table etc. ) | | |Independent people from the casino area who count the cash and coins daily | | |The control procedures for credit issuance | | |A mystery guest who observes the dealers to check the customer satisfaction | | |Tight security in the counting rooms | |Personal/Cultural Control |All employees of the BSC (gaming employees) have to be registered with the GCB (Gaming control board | | |The BSC uses an own screening system for selecting employees (dealers)...

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...Controls at the BellagioCasinoResort
Purpose of Case
The Controls at the BellagioCasinoResortcase was designed with several purposes in mind.
First, it illustrates a control system that is dominated by action and personnel controls, rather
than results controls. The analysis of this system leads to insights about some of the factors that
limit the feasibility of results controls.
Second, the case can lead into a discussion of what is meant by the term “tight control.” The
case presents an excellent example of the application of tight action controls in the table games
areas of the casino.
Finally, the case can lead into a discussion of the meaning of what auditors refer to as “internal
control,” which is a subset of the broader area of management control. The case describes an
excellent system of controls over cash and cash-equivalent stocks and movements thereof.
These controls, which fall in the category of internal controls, are necessary but not sufficient to
guarantee good management control.
Suggested Assignment Questions
Since the case can be used for several purposes, the assignment can be slanted in several ways.
The following is one list of questions that might be used
1. Focus on three key roles at mainly three levels of authority in the...

...Synopsis of the Situation The Bellagio was one of 23 properties of MGM MIRAGE, one of the world's leading hotel and gaming companies. Located in the heart of Las Vegas, The Bellagio was widely recognized as one of the premiere casinoresorts in the world. Richly decorated, the resort featured a conservancy filled with unique botanical displays, and eight-acre lake featuring over 1,000 fountains that performed a choreographed ballet of water, music, and lights, top-notch amenities and entertainment options, and 200,000 square feet of convention space. In the casino operations area, the Bellagio operated 2,409 coin-operated gaming devices (slot machines), and 143 game tables. Approximately 1,000 people were employed in casino operations. As in most companies in this industry, the gaming (casino) and nongaming operations were run as separate profit centers. The unique feature of a casinoresort organization, as compared to that in most organizations, is the relatively large size of the finance staff. In the Bellagio, about 1,000 of the total of approximately 4,000 employees were in the finance organization Key Issues Organizations can supplement or replace results controls with other forms of controls that serve the sames purpose: make it more likely that employ ees will act in the organization's best interest....

...Bellagio Questions
Name: Sam Clark
Bellagio Questions
1. Focus on three key roles at mainly three levels of authority in the casino—blackjack dealers, pit bosses, and the vice president of table games. How would you characterize the “control strategy” (e.g., tight vs. loose) used over each of these roles?
2. Prepare a list of the controls described in the case. What control problems are they designed to address? Are the managers interviewed for the case justified in being proud of their company’s control system? Why or why not?
3. Are any of the control systems in place at the Bellagio suitable for firms in other industries?
1. Bellagio uses multiple forms of supervision and surveillance on the blackjack dealers, such as the cameras, standard of actions, so the “control strategy” on them is tight. Pit bosses are the persons who supervise the dealers, but there are also some methods to control them, such as the signatures on lots of documents, so the “control strategy” is a little tight. Compared with the other positions, the vice president of table games were watched with less supervision, so the “control strategy” on the vice president of table games is loose. The control strategy make them know exactly what the casino expect them to do, and the objective of it is to make sure the safety of the casino’s assets.
2. (1) A. Locked cash boxes on the...

...﻿Manalo,Cezanne Izle
Resorts Management
TM0202
The St. Regis Bora Bora Resort – Beach
Source: http://www.stregisborabora.com
With overwater villas with private decks and glass panels in the floor that give guests a beautiful view of the water below.
With Private salt water lagoon and restaurant located on the resort.
With complimentary water activities such as canoes, kayaks, snorkel gear, and long boards.
You’ll have your own personal butler service the minute you arrive.
With beautiful white sands, well maintained property with spectacular views
Four Seasons Resort Whistler – Mountain
Source: http://www.fourseasons.com/whistler/
It is located at the base of the largest ski resort in North America within walking distance to championship golf course, and hundreds of shops and restaurants.
Award winning spa and mountainside dining.
With year round activities such as daily wine tastings, outdoor barbecues, and live local music with access to heated outdoor pools and spas open year round.
Luxury guest rooms that have bigger space and offer their own fireplace.
Complimentary ski shuttle to take you and all your equipment to the place where you going.
Hyatt Regency Aruba Resort – Island
Source: http://aruba.hyatt.com/en/hotel/home.html
12 acres of tropical paradise complete with parrots, gardens, ponds, and...

...The scheme in the gambling industry is the same everywhere. The main goal is to
attract the client first and to make his/her stay as pleasant as possible to spend as much
money on the tables as they possibly can.
RCC operates as a single firm to maximize the combined net profit from its three
divisions. In this case, the three divisions operating as a single firm outperform the three
divisions operating as individual companies in the market.
There is a synergy between the divisions where the combined result is better than the
sum of the individual performances. In fact we could say that Entertainment and Hotel
give support to the main income generator that is Gambling.
As the beginning of chapter 4 of the book says Team Production is the key reason that
firms exist. That means in this case that the profitability of the Hotel and the
Entertainment division are somehow sacrificed, hence the negative EVAs, for the
benefit of having more clients spending their money on gambling and consequently
rising the collective output that is the joint benefit.
The other businesses operating separately have, presumably, a positive EVA but, as the
case states, they serve a less affluent clientele and thus the combined EVA is probably
smaller that RCC’s.
Following the example of the automobile in page 144, chapter 4 of the book, there is
also the advantage for the consumer of having only one transaction cost. Firms emerge
to...

...Controls at the BellagioCasinoResort
As the name states, this case is about the controls BellagioCasinoResort employs in order to ensure an efficient and effective running of its operations. The controls employed by Bellagio demonstrate how tight management needs to ensure their internal control system is in order to be effective. Bellagio uses both tight action controls and tight results controls.
Tight action controls include behavioural constraints, including physical and administrative, pre-action reviews, and action accountability. Physical constraints employed by Bellagio include locked cash boxes on the casino floor, daily cash and coin counts, constant observation and supervision and constant computer monitoring. Administrative controls were also put into place. Personnel who dealt with cash directly such as change personnel, coin redemption personnel, cashiers and chip fill bank personnel were individually accountable for the money charged out to them. They were charged to give back the exact amount given to them. Large shortages or persistent patterns of shortages were reasons for dismissal.
Bellagio had individual accountability for cash, formal procedures for transfers of cash, strict controls over credit issuance and tight controls in the count room. Additionally, all employees of the...

...﻿
Bellagio has tight controls over its dealer, which provide a high degree of certainty that the person being controlled will act as the organization wishes. However the vice presidents of table games are not tightly controlled because there is no good performance measure for them.
In terms of cash control, Bellagio assigns employees the responsibility of certain amount of cash, and some procedures are carried out to ensure that the records are reliable, such as standardization of actions at the tables, supervision and surveillance, as well as auditing procedures. These procedures are effective internal control methods and can prevent embezzlement, unless two or more people collude.
Amount the internal control methods, standardization of actions at the tables, would be an example of tight action controls and is effective in making the games fair and preventing the dealers from theft. The method of monitoring of result would be an example of result controls. However whether this method is appropriate is in doubt. The result is measures after the 24-hour procedure is completed, and during that time 3 dealers would have worked on the same table. It would be effective in measuring casino profitability, but not so helpful if they want to measure each dealer’s performance. If the 24-hour procedure can be divided into several sections and each of the 3 dealers are measured individually, and they can receive constant feedback before...

...Casino Coin Handling Processes Case
1. Draw a diagram of the drop process. Show how long it will take to empty 300 silver dollar slot machines.
Drop Process –
To empty 300 silver dollar slot machines –
Getting the slot machine cabinet keys will only need to be done one time, and will take 15 minutes. Retrieving the 300 drop buckets will take
3,000 minutes, since it takes 10 minutes to retrieve 1 bucket. To empty 300 slot machines, thecasino will need 15 carts, holding 20 buckets each.
It takes 30 minutes to deliver each cart, so it will take 450 minutes to deliver the 15 carts. In total, it will take 3,465 minutes (or 57.75 hours) to
empty 300 silver dollar slot machines. This is under the assumption that only one team is used for the drop process.
2. Draw a diagram of the hard count process. How long should this process take to complete for 300 silver dollar slot machines. Assume
that each slot machine has an average of 750 silver dollars when it is emptied.
Hard Count Process
Yes
No
To complete 300 silver dollar slot machines (750 silver dollars in each bucket) –
Yes
No
The first step is to test the weigh scale, assuming the scale test is okay, this will take 10 minutes. Next the casino will weigh and record the value
of each bucket. This takes 7 minutes per bucket, so it will take 2,100 minutes for 300 buckets. There are 25 coins per roll when silver dollars are
wrapped. The...